Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZOG spuds in at Oi, seeking extended life for Tui

NZOG spuds in at Oi, seeking extended life for Tui

By Pattrick Smellie

June 3 (BusinessDesk) - New Zealand Oil & Gas has started drilling in the Oi prospect in its latest play to extend the life of offshore infrastructure that is servicing the declining Tui oil field.

Situated to the north of Tui in a different geological structure, the Oi prospect has "sufficient estimated potential size to contain commercial amounts of hydrocarbons", with the main uncertainty being whether Kapuni F10 reservoir sands are present.

"NZOG considers the well has a 17 percent geological chance of success, and a 16 percent chance of commercial development."

The well follows the discovery of hydrocarbons in commercial quantities at the Pateke-4H well, drilled earlier this year, which will be tied back to the floating production platform already processing other wells in the Tui prospect.

AWE is the operator on the Oi well, with a 31.25 percent holding, Pan Pacific Petroleum holds 50 percent and NZOG is in at 18.75 percent. The three joint venture parties hold 57.5 percent, 15 percent and 27.5 percent of the petroleum mining permit that covers both Tui and Oi.

Total cost of the well is US$27 million, of which NZOG's share is US$5million, with potential to drill a sidetrack well on a full equity share basis, should encouraging signs be found in the well currently being drilled.

A pre-drill, unrisked best estimate is for a prospective resource of 11 million barrels of recoverable oil, of which NZOG's share would be 2.06 million barrels.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Scoop Business: ComCom Charges Hawkins’ Finance Companies Over Debt Recovery

The Commerce Commission has filed criminal proceedings against two finance companies run by former 1980s high-flyer Allan Hawkins over their debt recovery practices. More>>

ALSO:

Science Media Centre: The Big Science Stories Of 2014

It was a dramatic year for science, one that witnessed a severe outbreak of Ebola in West Africa and an historic mission to land a space probe on a comet. On the home front... headlines with animal testing for 'legal highs', 1080 use to tackle increased pest numbers and court action over genetically modified organisms among the most-covered stories. More>>

ALSO:

Tis The Season For Route Announcements: Air NZ Will Start Direct Flights To South America

Air New Zealand, the national carrier, will start its first scheduled service to South America, with direct flights between Auckland and Buenos Aires in Argentina starting in December next year, as it seeks to expand its services in the Pacific Rim. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news